Delta State Arbitration Law, 2022
Text as published in Laws of Delta State (State e-Laws portal). Reproduced for reference. Verify against the Gazette before relying on it in court.
Preliminary
DELTA STATE ARBITRATION LAW,
2022
Section 1
1. Short title and Commencement.
This Law may be cited as the Delta State Arbitration Law, 2022.
Section 2
2. Interpretation.
(1)
(1) In this Law, unless the context otherwise requires:
?arbitration? means any method of resolving a dispute through an arbitral tribunal,
whether or not its organisation is administered by an arbitral institution;
?arbitration agreement? means the agreement by which the parties decide to submit to
arbitration all or some disputes, that have arisen or may arise between them, relating to
certain legal, contractual or non-contractual relationships;
?arbitral institution? means an entity, either public, private, or of a general or specialised
nature, responsible for organising, on a permanent basis, the arbitration of disputes
submitted to it by the parties to an arbitration agreement under the entity?s internal rules;
?arbitral tribunal? means a sole arbitrator or a panel of arbitrators;
?Court? means the High Court of Delta State;
?emergency arbitrator? means the arbitrator appointed, before the constitution of the
arbitral tribunal, to consider and, if necessary, order urgent interim measures;
?interim measures? means any temporary measure, whether in the form of an award or in
another form, made by the arbitral tribunal before it issues the award that finally decides
the dispute;
?Multidoor Courthouse? means the Delta State Multidoor Courthouse;
?place of arbitration? means the juridical seat of the arbitration;
?State? means Delta State of Nigeria;
?urgent interim measures? means interim measures that cannot await the constitution of
an arbitral tribunal.
(2) The following are interpretational guide under this Law:
(a) where a provision of this Law, except Section 26 of this Law, leaves the parties
free to determine a certain issue, that freedom includes the right of the parties to
authorise a third-party, including an arbitral institution, to make that determination;
(b) where a provision of this Law refers to the fact that the parties have agreed or
that they may agree or in any other way refers to an agreement of the parties, such
agreement includes any arbitration rules referred to in that agreement;
(c) where a provision of this Law, other than in Sections 34 (2)(a) and 59(2)(a) of
this Law, refers to a claim, it also applies to a counterclaim, and where it refers to a
defence, it also applies to a defence to such counterclaim;
(d) in the resolution of issues that are not expressly provided for in this Law, but
which relate to matters regulated by it, the general principles in Section 4 of this Law
shall be considered.
Section 3
3. Amendment of Section 2 of the Principal Law.
(1) Subject to subsection (4) of this Section, this Law applies to an arbitration if the place
of arbitration is in Delta State.
(2) The place of arbitration is in Delta State if the arbitration agreement:
(a) names Delta State or a place in Delta State as the place of arbitration;
(b) does not name a place of arbitration, but provides that the arbitration laws of
Delta State are applicable to the dispute;
(c) does not name a place of arbitration and does not provide that the arbitration
laws of a specified jurisdiction are applicable to the dispute, but provides that the
laws of Delta State are applicable to the substance of the dispute;
(d) empowers a person or entity to name the place of arbitration and the person or
entity names Delta State or a place in the State as the place of arbitration; or
(e) does not provide for paragraphs (a) –(d) of this subsection but the parties to the
arbitration agreement have, on the date the parties entered into the arbitration
agreement, their places of business in the State.
(3) For the purposes of subsection (2)(e) of this Section:
(a) if a party has more than one place of business, the party’s place of business is
that which has the closest relationship to the arbitration agreement; and
(b) if a party does not have a place of business, a reference to the party’s place of
business is to be read as a reference to the party’s last known place of residence.
(4) Notwithstanding subsection (2) of this Section, Sections 6, 8, 10, 30, 46, 47, 48 and
61 of this Law apply to an arbitration whether or not the place of arbitration is in Delta
State.
(5) This Law does not apply to an arbitration to which the Arbitration and Conciliation
Act, Cap. A18 LFN 2004 (or any amendment or re-enactment of it) applies.
Section 4
4. General Principles.
In interpreting this Law, regard shall be had to the following general principles:
(a) The principle of party autonomy, under which the parties are free to choose
arbitration for the resolution of their disputes, to determine the composition of the
arbitral tribunal, to choose the law that applies to the substance of the dispute and
the procedural rules, without prejudice to the mandatory rules provided in this Law;
(b) the principle of fair hearing, under which each party shall be guaranteed the
opportunity to effectively participate in the arbitration, including the right to be
heard and to exercise its right to respond to acts of the arbitral tribunal or of the
other party that affect it, unless the arbitral tribunal deems it unnecessary, or this
Law provides otherwise;
(c) the principle of equality, under which the parties shall be treated equally and
each of them shall be given the opportunity to exercise their rights and fulfil their
duties;
(d) the principle of confidentiality, under which the arbitration process, its subjects
and its contents shall be kept confidential, without prejudice to the cases in which
such confidential information may be disclosed under the terms of this Law;
(e) the principle of informality and simplicity, under which the arbitral tribunal shall
conduct the arbitration in an informal and simplified manner that best serves the
interests of the parties and is best suited to the terms of the dispute, without
prejudice to the mandatory rules provided in this Law;
(f) the principle of speed and efficiency, according to which the arbitral tribunal
shall conduct the arbitration in a prompt, efficient, and economical manner,
respecting the procedural guarantees of the parties and the mandatory rules
provided in this Law;
(g) the principle of impartiality and independence, under which arbitrators
exercising of their functions, shall act in an impartial and independent manner, not
benefiting or harming any of the parties and being immune to influence or pressure
of any kind; and
(h) the principle of minimal court intervention in accordance with Section 8 of this
Law.
Section 5
5. Receipt of written communications.
(1) If the parties have agreed on a method for delivering written communications, the
communication shall be delivered in accordance with the agreement.
(2) If the parties have not agreed on a method for delivering written communications,
the communication may be delivered to an individual by:
(a) leaving it with the individual;
(b) leaving it at the individual’s last known place of business, place of residence or
mailing address;
(c) sending it electronically to an address or number specified by the individual for
that purpose;
(d) sending it to the individual’s last known place of business, place of residence or
mailing address by courier or another means that provides a record of receipt; or
(e) after the arbitral tribunal has been constituted, by any other method the arbitral
tribunal directs.
(3) If the parties have not agreed on a method for delivering written communications,
the communication may be delivered to a corporation or legal person by:
(a) leaving it with an officer, director or agent of the corporation;
(b) leaving it at a place of business of the corporation with a person who has
apparent control or management of the place;
(c) sending it electronically to an address or number specified by the corporation
for that purpose;
(d) sending it to a place of business of the corporation by courier or another means
that provides a record of receipt; or
(e) after the arbitral tribunal has been constituted, any other method the arbitral
tribunal directs.
(4) If the parties have not agreed on a date on which receipt of a written communication
is deemed to occur, then, unless the addressee establishes that the addressee, acting in
good faith, did not actually receive it until a later date:
(a) a written communication delivered under subsections (2)(a), (b) or (c) or (3)(a),
(b) or (c) of this Section is deemed to have been received on the date it is delivered;
and
(b) a written communication delivered under subsection (2) (d) or (e) or (3)(d) or
(e) of this Section is deemed to have been received 5 days after the data is sent.
(5) If a party is satisfied that it is impractical or impossible to deliver a written
communication in a manner described in subsection (1) or (2) of this Section, the party
may apply to the arbitral tribunal for an order authorising an alternative method of
delivering the communication.
(6) If the arbitral tribunal fails to make an order under subsection (5) of this Section
within 7 days of the request, the party may apply to the Court for an order authorising an
alternative method of delivering the communication.
(7) An order under subsection (5) or (6) of this Section must state the date on which
receipt of the communication is deemed to occur.
(8) This Section does not apply to communications in court proceedings.
Section 6
6. Waiver of the right to object.
A party to an arbitration agreement is deemed to have waived the right to object if both of
the following apply:
(a) the party knows that:
(i) a provision of this Law, other than a provision in respect of which the parties may
otherwise agree, has not been complied with; or
(ii) a requirement under the arbitration agreement has not been complied with; and
(b) the party proceeds with the arbitration and does not state an objection to the
non-compliance without undue delay, or, if a time limit is provided for stating that
objection, within that period of time.
Section 7
7. Death of a Party.
(1) If a party to an arbitration agreement dies, the personal representatives of the
deceased party are bound by, and are not by the death precluded from enforcing the
terms of the arbitration agreement.
(2) An arbitrator’s authority to hear and decide on the arbitration is not revoked by the
death of the party who appointed the arbitrator.
(3) This Section does not affect a rule of law or an enactment under which the death of a
person extinguishes a right of action.
(4) In this Section:
“Death” includes, in the case of a body corporate, dissolution or other extinction by
process of law.
Section 8
8. Extent of Court intervention.
In matters governed by this Law:
(a) a Court shall not intervene unless so provided in this Law; and
(b) except to the extent provided by this Law, a Court shall not question, review
the substance of, or restrain:
(i) any proceedings of an arbitral tribunal; or
(ii) an order, ruling or award made by an arbitral tribunal
Section 9
9. Form of the arbitration agreement.
(1) An arbitration agreement shall be in writing.
(2) An arbitration agreement is in writing if its content is recorded in any form,
irrespective of whether the arbitration agreement or contract has been concluded orally,
by conduct, or by other means.
(3) The requirement that an arbitration agreement be in writing is met by an electronic
communication if the information contained therein is accessible so as to be useable for
subsequent reference.
(4) An arbitration agreement is in writing if it is contained in an exchange of statements
of claim and defence in which the existence of an agreement is alleged by one party and
not denied by the other.
(5) The reference in a contract to any document containing an arbitration clause
constitutes an arbitration agreement in writing, provided that the reference is such as to
make that clause part of the contract.
(6) The arbitration agreement may be in the form of an arbitration clause in a contract
or in the form of a separate agreement.
(7) In this Section:
(a) “electronic communication” means any communication that the parties make
by means of data messages; and
(b) “data message” means information generated, sent, received or stored by
electronic, magnetic, optical or similar means, including, but not limited to, electronic
data interchange (EDI), electronic mail and other electronic messages, telegram,
telex or telecopy.
Section 10
10. Stay of Court proceedings.
(1) If a party commences legal proceedings in a Court in respect of a matter agreed to
be submitted to arbitration, a party to the legal proceedings may, before submitting the
party’s first pleading on the substance of the dispute, apply to that Court to stay the legal
proceedings.
(2) In an application under subsection (1) of this Section, the Court shall make an order
staying the legal proceedings unless a party shows, on a prima facie basis, that the
arbitration agreement is void, inoperative or incapable of being performed
(3) An arbitration may be commenced or continued and an arbitral award made even if
an application has been brought under subsection (1) of this Section and the issue is
pending before the Court.
Section 11
11. Commencement of arbitral proceedings.
(1) If the parties to an arbitration agreement have agreed on how arbitral proceedings
are to be commenced, arbitral proceedings shall be commenced in accordance with that
agreement.
(2) If the parties to an arbitration agreement have not agreed on how arbitral
proceedings are to be commenced, a party may commence arbitral proceedings:
(a) if authorised under the arbitration agreement, by delivering to the other party
to the arbitration agreement a notice appointing an arbitrator; or
(b) by delivering to the other party to the arbitration agreement a notice
requesting that the other party participate in the appointment of an arbitral tribunal;
or
(c) if the arbitration agreement authorises a person who is not a party to the
arbitration agreement to appoint an arbitrator or arbitral tribunal, by delivering to
that person a notice requesting the person exercise the power of appointment and
by delivering a copy of the notice to any other party to the arbitration agreement; or
(d) by delivering to the other party a written communication containing a request
for the dispute to be referred to arbitration.
(3) A person who receives a notice under subsection (2) of this Section may deliver to
the party who commenced the arbitral proceedings a written request for a concise
description of the matter in dispute, unless such a description is already included with the
notice.
(4) A party who receives a request under subsection (3) of this Section shall comply with
the request no more than 10 days after receipt of the request.
(5) An arbitral tribunal may extend the time period referred to in subsection (4) of this
Section before or after the expiry of that period.
(6) A party’s failure to comply with subsection (4) of this Section does not render a
notice delivered under subsection (2) of this Section ineffective, but an arbitral tribunal
may stay the arbitral proceedings until the party complies with the request under
subsection (3) of this Section.
Section 12
12. Consolidaton.
(1) If all parties to two or more arbitral proceedings agree to consolidate those
proceedings, a party, with notice to the other parties, may apply to the Court for an order
that the proceedings be consolidated as agreed by the parties.
(2) Subsection (1) of this Section does not limit the parties’ ability to consolidate arbitral
proceedings without a Court order.
(3) If all parties to the arbitral proceedings agree to consolidate the proceedings, but do
not agree by adopting procedural rules or otherwise to either of the following matters:
(a) the designation of parties as claimants or respondents or a method of making
those designations; and
(b)
the method for determining the composition of the arbitral tribunal;
the Court may on an application under subsection (1) of this Section but subject to
subsection (4) of this Section, make an order deciding either or both of those
matters.
(4) If the arbitral proceedings are under different arbitration agreements, the Court shall
not make an order under this Section unless, by their arbitration agreements or otherwise,
the parties agree:
(a) to the same place of arbitration or a method for determining a single place of
arbitration for the consolidated proceedings in Delta State;
(b) to the same procedural rules or a method for determining a single set of
procedural rules for the conduct of the consolidated proceedings; and
(c) to have the consolidated proceedings either:
(i) be administered by the same person or entity; or
(ii) not be administered by any person or entity.
(5) In making an order under this Section, the Court may have regard to any
circumstance it considers relevant, including:
(a) whether one or more arbitrators have been appointed in one or more of the
arbitral proceedings;
(b) whether the applicant delayed applying for the order; and
(c) whether any material prejudice to any of the parties or any injustice may result
from making the order.
(6) Consolidated arbitral proceedings may be continued and an arbitral award made
even if a party appeals against a Court decision made under this Section.
Section 13
13. Limitation periods
(1) The law regarding limitation periods for commencing Court proceedings applies to
arbitral proceedings.
(2) If a party alleges that a claim to which an arbitration agreement applies is barred for
failure to commence arbitral proceedings within the time limit specified in the agreement
or otherwise or within the applicable limitation period, the arbitral proceedings shall
continue and the arbitral tribunal shall determine whether the claim is barred.
(3) If Court proceedings are stayed under Section 10 of this law and the claim that was
the subject of the Court proceedings is made in arbitral proceedings no more than 30 days
after the Court proceedings are stayed, the limitation period applicable to the claim is
suspended from the date the claim was made in the Court proceedings to the date the
claim is made in the arbitral proceedings.
(4) In computing the time for commencing proceedings to enforce an arbitral award, the
period between commencing the arbitration and the date of the award shall be excluded.
Section 14
14. Number of arbitrators.
If the parties to an arbitration agreement do not agree on the number of arbitrators, an
arbitral tribunal shall be composed of one arbitrator.
Section 15
15. Appointment of arbitrators.
(1) Subject to this Section, the parties may agree on a procedure for appointing the
arbitral tribunal.
(2) Unless the parties otherwise agree, in an arbitration with a sole arbitrator, if the
parties fail to agree on the arbitrator, the Multidoor Courthouse shall, on request of a
party, appoint the arbitrator.
(3) Unless the parties otherwise agree, in an arbitration with three arbitrators, each
party shall appoint one arbitrator, and the two appointed arbitrators shall appoint the third
arbitrator, who shall preside among them.
(4) If the appointment procedure in subsection (3) of this Section applies and either of
the following occurs:
(a) a party fails to appoint an arbitrator within 30 days after receipt of a request to
do so from the other party; or
(b)
the two appointed arbitrators fail to agree on the third arbitrator within 30 days after
the parties’ last appointment;
the Multidoor Courthouse shall, on request of a party appoint an arbitrator.
(5) If under an appointment procedure agreed to by the parties, any of the following
occurs:
(a) a party fails to act as required under that procedure;
(b) the parties, or two appointed arbitrators, fail to reach an agreement expected
of them under that procedure; or
(c)
a third-party fails to perform any function entrusted to the third-party under that
procedure;
a party may request the Multidoor Courthouse to take the necessary measure the
agreement on the appointment procedure provides other means for securing the
appointment.
(6) If the Multidoor Courthouse does not make the appointment requested under
subsection (2) or (4) of this Section or take the necessary measure in accordance with
subsection (5) of this Section within 7 days of the request, the Court shall, on application,
appoint an arbitrator.
(7) In appointing an arbitrator, the Multidoor Courthouse or the Court shall (as the case
may be) have due regard to:
(a) any qualifications required of the arbitrator by the agreement of the parties;
and
(b) any other considerations that are likely to secure the appointment of an
independent and impartial arbitrator.
(8) Arbitral proceedings may be continued and an arbitral award made even if a party
challenges a decision of the Multidoor Courthouse or appeals against the decision of the
Court made under this Section.
Section 16
16. Multiparty arbitration.
(1) In the case of arbitral proceedings with more than one claimant or respondent, the
references made in Section 15 of this Law to one of the parties shall be deemed as made
to all the claimants or respondents(as the case may be), and the references made to the
parties shall be deemed as made to all claimants and respondents.
(2) In the case provided in Section 15(2) of this Law, if all the claimants and respondents
in a multiparty arbitration fail to agree on the sole arbitrator, the Multidoor Courthouse
shall, on the request of any claimant or respondent, appoint the arbitrator
(3) In the case provided in Section 15 (4) of this Law, if all the claimants or all the
respondents fail to appoint an arbitrator within 30 days after receipt of a request to do so
from the other party, or if the two appointed arbitrators fail to agree on the third arbitrator
within 30 days after the parties’ last appointment, the Multidoor Courthouse shall, on
request of any claimant or respondent, make the appointment.
(4) If the Multidoor Courthouse does not make the appointment requested under
subsection (2) or (3) of this Section within 7 days of the request, the Court shall, on the
application of any claimant or respondent, appoint an arbitrator.
(5) In the case provided in subsection (3) of this Section, the Multidoor Courthouse or the
Court may also, if it deems it justified to ensure the equality of the parties:
(a) appoint all the arbitrators, including the presiding arbitrator among them; and
(b) if applicable, nullify any arbitrator appointment that the parties have already
made.
Section 17
17. Independence and impartiality of arbitrator.
(1) An arbitrator shall be independent of the parties and impartial.
(2) If a person is approached in connection with their possible appointment as an
arbitrator, the person must without delay, disclose any circumstances likely to give rise to
justifiable doubts as to their independence or impartiality.
(3) An arbitrator, from the time of the appointment and throughout the arbitral
proceedings, shall, without delay, disclose to the parties any circumstances referred to in
subsection (2) of this Section.
Section 18
18. Grounds for challenge.
(1) A party may challenge an arbitrator only if:
(a) circumstances exist that give rise to justifiable doubts as to the arbitrator’s
independence or impartiality, or
(b) the arbitrator does not possess the qualifications agreed to by the parties.
(2) For the purposes of subsection (1)(a) of this Section, there are justifiable doubts as to
the arbitrator’s independence or impartiality only if there is a real danger of bias on the
part of the arbitrator in conducting the arbitration.
(3) A party may challenge an arbitrator appointed by that party, or in whose
appointment the party has participated, only for reasons of which the party becomes
aware after the appointment has been made.
Section 19
19. Challenge procedure.
(1) Subject to subsection (4) of this Section, the parties to arbitral proceedings may
agree on a procedure for challenging an arbitrator.
(2) Failing any agreement referred to in subsection (1) of this Section, a party who
intends to challenge an arbitrator shall, within 15 days after becoming aware of the
constitution of the arbitral tribunal or any circumstances referred to in Section 18(1) of this
Law, send a written statement of the reasons for the challenge to the arbitral tribunal.
(3) Unless the arbitrator challenged under subsection (2) of this Section withdraws from
office or the other party agrees to the challenge, the arbitral tribunal shall decide on the
challenge.
(4) If a challenge under any procedure agreed to by the parties or under the procedure
referred to in subsection (2) of this Section is not successful, the challenging party may,
within 15 days after receiving notice of the decision rejecting the challenge, apply to the
Court to decide on the challenge.
(5) If an application is made under subsection (4) of this Section, the Court shall refuse
to decide on the challenge if it is satisfied that, under the procedure agreed to by the
parties, the party making the application had an opportunity to have the challenge decided
on by a person or entity other than the arbitral tribunal.
(6) While an application under subsection (4) of this Section is pending, or if a decision
of the Court under subsection (4) of this Section is appealed, the arbitral tribunal, including
the challenged arbitrator, may continue the arbitral proceedings and make an arbitral
award.
Section 20
20. Failure or impossibility to act.
(1) The mandate of an arbitrator terminates if:
(a) the arbitrator becomes in law or in fact unable to perform the arbitrator’s
functions or for other reasons fails to act without undue delay; and
(b) the arbitrator withdraws from office or the parties agree to the termination of
the arbitrator’s mandate.
(2) On application by a party, the Court may terminate the mandate of an arbitrator on a
ground referred to in subsection (1)(a) of this Section.
(3) If under this Section or Section 19(3) of this Law, an arbitrator withdraws from office
or the parties agree to the termination of the mandate of an arbitrator, the withdrawal
does not imply the arbitrator’s acceptance of the validity of any ground referred to in this
Section or Section 18(1) of this Law.
Section 21
21. Termination of mandate and substitution of arbitrator.
(1) In addition to the circumstances referred to in Section 19 or 20 of this Law, the
mandate of an arbitrator terminates:
(a) if the arbitrator withdraws from office for any reason; or
(b) by or pursuant to the agreement of the parties to the arbitral proceedings.
(2) If the mandate of an arbitrator terminates, a substitute arbitrator shall be appointed
according to the rules applied to the appointment of the arbitrator being replaced.
(3) Unless otherwise agreed by the parties to the arbitral proceedings:
(a) if the sole or presiding arbitrator is replaced, any hearings previously held shall
be repeated; and
(b) if an arbitrator other than the sole or presiding arbitrator is replaced, any
hearings previously held may be repeated at the discretion of the arbitral tribunal.
(4) Unless otherwise agreed by the parties to the arbitral proceedings, an order or ruling
of the arbitral tribunal made before the replacement of an arbitrator under this Section is
not invalid solely because there has been a change in the composition of the arbitral
tribunal.
Section 22
22. General duties of arbitral tribunal.
An arbitral tribunal shall:
(a) treat each party fairly;
(b) give each party a reasonable opportunity to present its case and to answer any
case presented against it; and
(c) strive to achieve a just, prompt and economical determination of the
proceeding on its merits.
Section 23
23. General duties of the parties.
(1) Parties to arbitral proceedings shall do all things necessary for the just, prompt and
economical determination of the proceedings, in accordance with the agreement of the
parties and the orders and directions of the arbitral tribunal.
(2) A party shall not willfully do or cause to be done any act to delay or prevent an
arbitral award from being made.
Section 24
24. Competence of arbitral tribunal to rule on its jurisdiction.
(1) An arbitral tribunal may rule on its own jurisdiction, including ruling on any objections
regarding the existence or validity of the arbitration agreement, and for that purpose:
(a) an arbitration agreement which forms part of a contract shall be treated as an
agreement independent of the other terms of the contract; and
(b) a decision by the arbitral tribunal that the contract is null and void shall not
entail, as a matter of law, the invalidity of the arbitration agreement.
(2) A plea that the arbitral tribunal does not have jurisdiction shall be raised not later
than the submission of the first response on the substance of the dispute.
(3) A party to arbitral proceedings is not precluded from raising a plea referred to in
subsection (2) of this Section by the fact that the party appointed, or participated in the
appointment of an arbitrator.
(4) A plea that the arbitral tribunal is exceeding the scope of its authority shall be raised
as soon as the matter alleged to be beyond the scope of its authority is raised during the
arbitral proceedings.
(5) The arbitral tribunal may in either of the cases referred to in subsection (2) or (4) of
this Section, admit a later plea if it considers the delay justified.
(6) The arbitral tribunal may rule on a plea referred to in subsection (2) or (4) of this
Section either as a preliminary question or in an arbitral award on the merits.
(7) If the arbitral tribunal rules as a preliminary question on a plea referred to in
subsection (2) or (4) of this Section, any party may within 30 days after receiving notice of
that ruling, apply to the Court to decide the matter.
(8) While an application under subsection (7) of this Section is pending, or the Court’s
decision under subsection (7) of this Section is appealed, the arbitral tribunal may continue
the arbitral proceedings and make an arbitral award.
Section 25
25. Representation in arbitral proceedings.
A party to arbitral proceedings may appear or act in person or may be represented or
assisted by any other person.
Section 26
26. Law applicable to substance of dispute.
(1) The law applicable to the substance of a dispute is the law designated by the parties
to the arbitration agreement.
(2) If the parties to the arbitration agreement have not designated the law applicable to
the substance of a dispute, the arbitral tribunal may choose the applicable law.
(3) An arbitral tribunal shall decide the substance of a dispute in accordance with the
applicable law, including any equitable rights or defences available under that law.
(4) An arbitral tribunal may grant relief or remedies under the applicable law, including
orders of specific performance, injunctions, declarations or other equitable remedies
available under that law.
Section 27
27. Conflict of laws.
A designation by the parties to the arbitration agreement of the law of a jurisdiction refers
to the jurisdiction’s substantive law and not to its conflict of laws rules unless the parties
expressly state that the designation includes the conflict of laws rules.
Section 28
28. Application of agreed standards.
Notwithstanding Section 26 of this Law, if all parties agree, an arbitral tribunal may resolve
a dispute ex aequo et bono or by applying some other standard.
Section 29
29. Evidence.
(1) An arbitral tribunal may decide all evidentiary matters, including the admissibility,
relevance, materiality, and weight of any evidence, and may draw such inferences as the
circumstances justify.
(2) Unless otherwise agreed by the parties to the arbitral proceedings (to the extent that
the law does not override such agreement), the arbitral tribunal is not required to apply
the law of evidence other than the law of privilege.
(3) Unless otherwise agreed by the parties to the arbitral proceedings or directed by the
arbitral tribunal, the direct evidence of every witness shall be presented in written form.
Section 30
30. Production and evidence from non-parties.
(1) If, on an application by a party to arbitral proceedings, an arbitral tribunal
determines that a person who is not a party to the proceedings should give evidence or
produce records, the arbitral tribunal may:
(a) issue a subpoena to a person in the State requiring the person to give evidence
or produce for inspection records in the person’s possession or control; or
(b) request a court of competent jurisdiction to assist the arbitral tribunal by
requiring a person in or outside the State to give evidence or produce for inspection
records in the person’s possession or control.
(2) A subpoena under subsection (1)(a) of this Section shall set out, and a request under
subsection (1)(b) of this Section shall propose, the following, as applicable:
(a) how, where and when the person is to give evidence;
(b) the records the person is to produce;
(c) how, where and when the records are to be produced and copied; and
(d) conditions for the payment of the expenses of the person named in the
subpoena or request.
(3) A subpoena under subsection (1)(a) of this Section has the same effect as if it were
issued in court proceedings.
(4) A subpoena under subsection (1)(a) of this Section may be set aside on application
by the person named in the subpoena to the arbitral tribunal or the Court.
(5) A party to arbitral proceedings may apply to the Court or another court of competent
jurisdiction for an order providing the assistance described in a request issued under
subsection (1)(b) of this Section.
(6) If an application is brought to the Court under subsection (5) of this Section, the
Court shall, after it finds that appropriate notice is delivered to the person named in the
request, and if satisfied that the conditions proposed are reasonable, make an order that
the person attend to give evidence or produce records as described in the request.
(7) Subsection (8) of this Section applies to arbitral proceedings if:
(a) the place of arbitration is within a territory outside the State;
(b) the arbitration is not considered to be an international arbitration under the
laws of the place of arbitration; and
(c) the arbitral tribunal has issued a request substantially conforming to the
requirements of a request under subsection (1)(b) of this Section.
(8) A party to arbitral proceedings to which this subsection applies may apply to the
Court for an order providing the assistance described in the request referred to in
subsection (7)(c) of this Section.
(9) A person shall not be compelled by an order under this Section, in relation to arbitral
proceedings, to give evidence or produce for inspection property or records in the person’s
possession or control that the person may not be compelled to give or produce in court
proceedings.
(10)
If the Court?s decision under this Section is appealed, the arbitral tribunal may continue
the arbitral proceedings and make an arbitral award.
Section 31
31. Hearings and written proceedings.
(1) Unless otherwise agreed by the parties to the arbitral proceedings, the arbitral
tribunal shall decide whether to hold oral hearings for the presentation of evidence or for
oral argument, or whether the proceedings shall be conducted on the basis of documents
and other written materials.
(2) Unless the parties have agreed that no oral hearings are to be held, the arbitral
tribunal shall, on request of a party, hold oral hearings at an appropriate stage of the
proceedings.
(3) The parties shall be given sufficient advance notice of any hearing and of any
meeting of the arbitral tribunal for the purpose of the inspection of records, goods or other
property.
(4) All statements, documents and other information supplied to, or applications made to
the arbitral tribunal by one party must be communicated to the other party, and any
expert report or evidentiary document on which the arbitral tribunal may rely in making its
decision shall be communicated to the parties.
Section 32
32. Hearing location.
(1) Except as provided in this Section, any in-person hearing to receive oral evidence or
oral submissions shall take place at:
(a) a location agreed to by the parties; or
(b) if the parties have not agreed to a location, a location determined by the
arbitral tribunal.
(2) An arbitral tribunal may receive oral evidence or oral submissions at any location by
telephone, video conference or other electronic means.
(3) An arbitral tribunal may meet wherever it considers appropriate for consultation
among its members.
(4) An arbitral tribunal may conduct an inspection of records, goods or other property or
receive evidence of a witness at any location.
Section 33
33. Procedural powers of arbitral tribunal.
(1) Subject to this Law and any agreement of the parties, an arbitral tribunal may
establish procedures and make procedural orders for the conduct of the arbitral
proceedings.
(2) For certainty, and without limiting subsection (1) of this Section, an arbitral tribunal
may:
(a) administer an oath or affirmation; and
(b)
make orders regarding any of the following:
(i)statements of position or pleadings, including when they should be delivered, their
form and content, and whether amendments are allowed;
(ii)requiring security for the arbitral tribunal’s fees and expenses;
(iii)requiring a party to provide security for costs that may be incurred by another
party;
(iv)the determination of some matters in dispute before other matters in dispute;
(v)giving directions for the preservation of evidence;
(vi)whether to apply rules of evidence (or any other rules) as to the admissibility,
relevance or weight of any material;
(vii)subject to privilege, requiring a party to produce records or information;
(viii)establishing protocols for searching for and producing electronically stored
records, and allocating the costs of implementing the protocols;
(ix)giving directions in relation to any property which is the subject of the arbitral
proceedings or as to which any question arises in the proceedings and which is
owned by or in the possession of a party, for the purposes of:
(A)the inspection, photographing, preservation, custody or detention of the property
by the arbitral tribunal, an expert or a party, or
(B)taking samples from, or making observations of any test or experiment conducted
upon the property;
(x)the form in which evidence and arguments are presented;
(xi)regarding the confidentiality in the arbitral proceedings and providing for
sanctions against parties for failure to observe any confidentiality requirements;
(xii)regarding the use of video or telephone conferencing or other technology to
enable the examination of witnesses who are not physically present at an evidentiary
hearing;
(xiii)allocating hearing time between the parties;
(xiv) excluding witnesses or potential witnesses from attending any part of an oral
evidentiary hearing;
(xv) the examination of a witness on oath or affirmation;
(xvi) the language to be used in the proceedings and whether translations of any
records are to be supplied and allocating the costs of interpreting or translating
evidence; and
(xvii) varying a procedural order, including by shortening or extending a time limit
established by the order before or after the expiry of the time limit.
Section 34
34. Party default.
(1) In this Section:
(a) “claim” means:
(i) in relation to a party who commenced arbitral proceedings, the matters put in
dispute by that party, and
(ii) in relation to a party who brings a counterclaim in arbitral proceedings, the
matters put in dispute by the counterclaim;
(b) “procedural time limit” means a time limit set by enactment, agreement of the
parties or order of the arbitral tribunal for taking a procedural step, other than a time
limit for the commencement of arbitral proceedings.
(2) If after the commencement of arbitral proceedings, a party who commenced the
proceedings or who brings a counterclaim in the proceedings fails to comply with a
procedural time limit, the arbitral tribunal may:
(a) terminate the arbitral proceedings in relation to the party’s claim; or
(b) suspend the arbitral proceedings in relation to the party’s claim, pending the
fulfilment of conditions.
(3) If in other cases, a party fails to comply with a procedural time limit, the arbitral
tribunal may continue the arbitral proceedings and make an order it considers appropriate,
including an order that precludes the party from taking a procedural step.
(4) If without showing sufficient cause, a party fails to appear at an oral hearing or
produce documentary evidence, the arbitral tribunal may continue the proceedings and
make an arbitral award on the evidence before it.
(5) Unless the arbitral tribunal determines otherwise at the time of termination, an
arbitral award made before termination or suspension of arbitral proceedings under this
Section remains valid and enforceable.
Section 35
35. Expert appointed by arbitral tribunal.
(1) Unless otherwise agreed by the parties, an arbitral tribunal may appoint an expert to
report to the arbitral tribunal and the parties on an issue.
(2) The arbitral tribunal may order a party to deliver to the expert relevant information
or to produce or provide access to relevant records, goods or other property for inspection.
(3) The arbitral tribunal may, after the expert has delivered the expert’s report to the
arbitral tribunal, order the expert to participate in a hearing at which the parties may
question the expert on the report and present evidence on issues arising from the report.
(4) Unless otherwise agreed by the parties, the expert shall on the request of a party,
make available to that party, for examination, all documents, goods or other property in
the expert’s possession with which the expert was provided in order to prepare the
expert's report.
(5) The costs of an expert appointed under this Section shall be borne by the parties as
directed by the arbitral tribunal.
Section 36
36. Duty of expert.
(1) In giving an opinion to an arbitral tribunal, an expert appointed by one or more
parties or by the arbitral tribunal has a duty to assist the arbitral tribunal and is not to be
an advocate for any party.
(2) If an expert is appointed by one or more of the parties or by the arbitral tribunal, the
expert shall in any report the expert prepares, certify that the expert:
(a) is aware of the duty referred to in subsection (1) of this Section;
(b) has made the report in conformity with that duty; and
(c) will if called on to give oral or written testimony, give that testimony in
conformity with that duty.
Section 37
37. Appointment and competence of emergency arbitrator.
(1) A party requiring urgent interim measures may, concurrent with or after commencing
the arbitration, but before the constitution of the arbitral tribunal, submit an application to
an emergency arbitrator in accordance with rules they agree to or, in the absence of any
such agreement, under the procedures set out in the Second Schedule to this Law.
(2) The emergency arbitrator may order urgent interim measures at the request of
either party and after hearing the opposing party.
(3) The emergency arbitrator retains the competence to decide on the request for an
urgent interim measure even if the arbitral tribunal is constituted after the emergency
arbitrator’s appointment.
(4) The emergency arbitrator’s decision extinguishes its powers and transfers
jurisdiction to the arbitral tribunal, except when the latter is not yet constituted, in which
case the emergency arbitrator retains its jurisdiction until the constitution of the arbitral
tribunal.
Section 38
38. Power of arbitral tribunal to order interim measures.
(1) Unless otherwise agreed by the parties, the arbitral tribunal may at the request of a
party and after hearing the opposing party, grant an interim measure.
(2) The arbitral tribunal may order any of the parties to:
(a) maintain or restore the status quo pending determination of the dispute;
(b) take action that would prevent, or refrain from taking action that is likely to
cause current or imminent harm or prejudice to the arbitral process itself;
(c) provide a means of preserving assets out of which a subsequent award may be
satis?ed; or
(d) preserve evidence that may be relevant and material to the resolution of the
dispute.
Section 39
39. Conditions for granting interim measures.
(1) The party requesting an interim measure under Section 38(2)(a), (b) or (c) of this
Law shall satisfy the arbitral tribunal that:
(a) if the interim measure is not ordered, it is likely that the requesting party will
suffer harm that damages cannot adequately repair, and that such harm
substantially outweighs the harm that is likely to result to the party against whom
the measure is directed if the measure is granted; and
(b) there is a reasonable possibility that the requesting party will succeed on the
merits of its claim.
(2) The determination on the possibility referred to in subsection (1)(b) of this Section
shall not affect the arbitral tribunal’s discretion in making any subsequent determination.
(3) Regarding the request for an interim measure made under Section 38(2)(d) of this
Law, the requirements in paragraphs (1)(a) and (b) of this Section shall apply only to the
extent that the arbitral tribunal considers it appropriate.
Section 40
40. Applications for preliminary orders and conditions for granting preliminary
orders.
(1) Unless otherwise agreed by the parties, a party may without notice to any other
party, make a request for an interim measure together with an application for a
preliminary order directing a party not to frustrate the purpose of the interim measure
requested.
(2) An arbitral tribunal may grant a preliminary order if the arbitral tribunal considers
that prior disclosure of the request for the interim measure to the party against whom it is
directed risks frustrating the purpose of the interim measure.
(3) The conditions defined under Section 39 of this Law apply to any preliminary order,
provided that the harm to be assessed under Section 39(1)(a) of this Law is the harm likely
to result from the order being granted or not.
Section 41
41. Specific regime for preliminary orders.
(1) Immediately after an arbitral tribunal makes a determination in respect of an
application for a preliminary order, the arbitral tribunal shall give notice to all the parties of
the following:
(a) the request for the interim measure;
(b) the application for the preliminary order;
(c) the preliminary order, if any; and
(d) all other communications, including the content of any oral communication
between any party and the arbitral tribunal in relation to a matter referred to in
paragraphs (a), (b) or (c) of this subsection.
(2) The arbitral tribunal shall give an opportunity to any party against whom a
preliminary order is directed to present the party’s case at the earliest practicable time.
(3) The arbitral tribunal shall decide promptly on any objection to a preliminary order.
(4) A preliminary order expires twenty days after the date on which it was issued by the
arbitral tribunal.
(5) After the party against whom a preliminary order is directed has been given notice
and an opportunity to present its case, the arbitral tribunal may issue an interim measure
adopting or modifying the preliminary order.
(6) A preliminary order:
(a) is binding on the parties but is not subject to enforcement by a court; and
(b) is not an arbitral award.
Section 42
42. Modification, suspension or termination of interim measures and
preliminary orders.
On application of any party or, in exceptional circumstances and with prior notice to the
parties, on the arbitral tribunal’s own initiative, an arbitral tribunal may modify, suspend,
or terminate an interim measure or a preliminary order it has granted.
Section 43
43. Provision of security.
(1) An arbitral tribunal may require the party requesting an interim measure to provide
appropriate security in connection with the measure.
(2) An arbitral tribunal shall require the party applying for a preliminary order to provide
security in connection with the order unless the arbitral tribunal considers it inappropriate
or unnecessary to do so.
Section 44
44. Disclosure.
(1) An arbitral tribunal may require any party to promptly disclose any material change
in the circumstances on the basis of which an interim measure was requested or granted.
(2) A party applying for a preliminary order must disclose to the arbitral tribunal all
circumstances that are likely to be relevant to the arbitral tribunal’s determination of
whether to grant or maintain the order.
(3) The disclosure obligation under subsection (2) of this Section continues until the
party against whom the preliminary order has been requested has had an opportunity to
present its case.
(4) After the party against whom a preliminary order has been requested has had an
opportunity to present its case, the arbitral tribunal may require any party to promptly
disclose any material change in the circumstances on the basis of which the preliminary
order was requested or granted.
Section 45
45. Costs and damages.
(1) A party requesting an interim measure or applying for a preliminary order is liable for
any costs and damages caused by the interim measure or the preliminary order to any
party if the arbitral tribunal later determines that in the circumstances, the measure or the
order should not have been granted.
(2) The arbitral tribunal may award the costs and damages referred to in subsection (1)
of this Section at any time during the arbitral proceedings.
Section 46
46. Recognition and enforcement of interim measures.
(1) Subject to Section 47 of this Law, an interim measure issued by an arbitral tribunal
shall be recognised as binding and, unless otherwise provided by the arbitral tribunal,
enforced on application to the Court.
(2) A party who is seeking or has obtained recognition or enforcement of an interim
measure shall promptly inform the Court of any modification, suspension or termination of
that interim measure.
(3) The Court may, if it considers it proper, order the requesting party to provide
appropriate security if the arbitral tribunal has not already made a determination with
respect to security or where such a decision is necessary to protect the rights of third
parties.
Section 47
47. Grounds for refusing recognition or enforcement of an interim measure.
(1) Recognition or enforcement of an interim measure may be refused only:
(a) at the request of the party against whom the interim measure is directed if the
court is satisfied that:
(i) such refusal is warranted on the grounds referred to in Section 60 of this Law;
(ii) a decision of the arbitral tribunal with respect to the provision of security in
connection with the interim measure has not been complied with; or
(iii) the interim measure has been suspended or terminated by the arbitral tribunal or
where so empowered by a court of the place of arbitration, or under the law of which
that interim measure was granted, or
(b) if the Court finds that:
(i) the interim measure is incompatible with the powers conferred upon the Court,
unless the Court decides to vary the interim measure to the extent necessary to
adapt the interim measure to its own powers and procedures for the purposes of
enforcing that interim measure and without modifying its substance; or
(ii) the recognition or enforcement of the interim measure would be contrary to the
public policy in the State.
(2) A determination made by the Court on a ground referred to in subsection (1) of this
Section is effective only for the purposes of the application to recognise or enforce the
interim measure.
(3) The Court in which recognition or enforcement is sought shall not in making a
determination on a ground referred to in subsection (1) of this Section, undertake a review
of the substance of the interim measure.
Section 48
48. Court Ordered Interim.
(1) The Court shall have the same powers to issue an interim measure in relation to
arbitral proceedings as it has in relation to court proceedings.
(2) It is not incompatible with an arbitration agreement for a party to request from the
Court, before or during arbitral proceedings, an interim measure of protection and for the
Court to grant that measure.
(3) As required under Section 8 of this Law, the Court shall exercise the power referred
to in subsection (1) of this Section in such a manner as to support, and not to disrupt, the
existing or contemplated arbitral proceedings.
(4) Where the case is one of urgency, the Court may, on the ex parte application of a
party or proposed party to the arbitral proceedings, make such order as it thinks
necessary.
(5) Where the case is not one of urgency, the Court shall act only on the application of a
party to the arbitral proceedings made:
(a) on notice to the other parties and to the arbitral tribunal; and
(b) with the permission of the arbitral tribunal or the agreement in writing of the
other parties.
(6) The Court shall act only if or to the extent that the arbitral tribunal, and any arbitral
or other institution or person vested by the parties with power in that regard, has no power
or is unable for the time being to act effectively.
(7) Where the Court so orders, an order made by it under this section shall cease to
have effect on the order of the arbitral tribunal or of any such arbitral or other institution or
person having the power to act in relation to the subject matter of the order.
Section 49
49. Majority decision.
(1) Unless otherwise agreed by the parties and subject to subsection (2) of this Section,
in arbitral proceedings with more than one arbitrator, any decision of the arbitral tribunal
must be made by a majority of all its members.
(2) If authorised by the parties or all the members of the arbitral tribunal, questions of
procedure may be decided by a presiding arbitrator.
(3) Unless otherwise agreed by the parties, if there is no majority decision on any matter
to be decided in an arbitration, the decision of the presiding arbitrator is the decision on
that matter.
Section 50
50. Settlement.
(1) It is not incompatible with an arbitration agreement for an arbitral tribunal to
encourage settlement of the dispute and, with the agreement of the parties the arbitral
tribunal may use mediation, conciliation or other procedures at any time during arbitral
proceedings to encourage settlement.
(2) If the parties settle the dispute during the arbitral tribunal shall terminate the
proceedings and if the parties request it and the arbitral tribunal does not object, record
the settlement in the form of an arbitral award on agreed terms.
(3) An arbitral award on agreed terms must be made in accordance with Section 51 of
this Law and must state that it is an arbitral award.
(4) An arbitral award on agreed terms has the same status and effect as any other
arbitral award on the substance of the dispute.
Section 51
51. Form, content, and delivery of arbitral award.
(1) An arbitral award shall be in writing and shall be delivered to the parties.
(2) The arbitral tribunal shall, on request of a party, deliver an original signed or certified
copy of the arbitral award to each party.
(3) An arbitral tribunal shall provide reasons for an arbitral award, unless:
(a) the parties to the arbitral proceeding have agreed that no reasons are to be
provided; or
(b) the award is an arbitral award on agreed terms under Section 50(2) of this Law.
(4) An arbitral award shall state the place of arbitration and the date on which the
arbitral award is made.
(5) A failure to comply with subsection (4) of this Section is a clerical error that may be
corrected under Section 58 of this Law.
(6) All members of the arbitral tribunal shall sign an arbitral award.
(7) Notwithstanding subsection (6) of this Section, a majority of the members of the
arbitral tribunal may sign an arbitral award if the award includes an explanation for the
omission of the signatures of the other members.
Section 52
52. Partial awards.
An arbitral tribunal may make an arbitral award that finally decides a matter in dispute
while retaining jurisdiction to decide another matter in dispute.
Section 53
53. Costs.
(1) A costs award may be made at any time during arbitral proceedings, including at the
termination of the proceedings, and may be made payable at any time.
(2) Unless otherwise agreed by the parties, the costs of an arbitration are in the
discretion of the arbitral tribunal, which may in awarding costs:
(a) include the following as costs:
(i) the fees and expenses of the arbitrators and expert witnesses;
(ii) legal fees and expenses;
(iii) any administration fees of an arbitral institution;
(iv) any other expenses incurred in connection with the arbitral proceedings;
(b) specify the following:
(i) the party entitled to costs;
(ii) the party who shall pay the costs;
(iii) the amount of costs or method of determining that amount; and
(iv) the manner in which the costs must be paid;
(c) determine the amount of a costs award by reference to actual reasonable legal
fees, expenses and witness fees; and
(d) summarily determine the amount of costs.
(3) If a party makes an offer to another party to settle the dispute or part of the dispute
and the offer is not accepted, the arbitral tribunal may take that fact into account when
awarding costs of the arbitration.
(4) The content of an offer to settle the dispute or part of the dispute must not be
communicated to the arbitral tribunal unless the arbitral tribunal has issued an arbitral
award determining all aspects of the dispute other than costs.
Section 54
54. Interest.
(1) Unless otherwise agreed by the parties, an arbitral tribunal may award simple or
compound interest for the time period and at the rate that the arbitral tribunal considers
appropriate as follows:
(a) on the whole or part of any amount awarded by the arbitral tribunal, in respect
of any period up to the date of the arbitral award;
(b) on the whole or part of any amount claimed in the arbitration and outstanding
at the commencement of the arbitral proceedings but paid before the arbitral award
was made, in respect of any period before the date of payment.
(2) Unless otherwise agreed by the parties, an arbitral tribunal may award simple or
compound interest from the date of the arbitral award, or any later date, until payment, at
such rates as the arbitral tribunal considers appropriate, on the outstanding amount of any
arbitral award, including any interest awards under subsection (1) of this Section and any
costs awards.
Section 55
55. Withholding arbitral award.
(1) Notwithstanding Section 51 of this Law, an arbitral tribunal may withhold an arbitral
award from the parties if the arbitral tribunal has not received full payment of its fees and
expenses.
(2) A time limit for delivering the arbitral award is extended until security is provided for
an amount claimed under subsection (1) of this Section.
(3) If the arbitral tribunal refuses or fails to deliver an arbitral award, a party may, upon
notice to the other parties and the arbitral tribunal, make a request to the Court for one or
more of the following:
(a) a direction that the arbitral tribunal deliver the arbitral award on the payment in
trust to the Court of all or part of the fees and expenses demanded;
(b) a determination of the amount of the fees and expenses payable to the arbitral
tribunal under Section 57 of this Law;
(c) a direction that the fees and expenses as determined under paragraph (b) of
this subsection be paid out of the money paid in trust to the Court; and
(d) a direction as to how the balance of the money paid in trust to the Court should
be paid out.
Section 56
56. Binding nature of arbitral award.
An arbitral award is final and binding on all the parties to the award.
Section 57
57. Arbitral Tribunal fees and expenses.
(1) The parties shall be jointly and severally liable to pay an arbitrator’s fees and
expenses.
(2) The fees and expenses payable to an arbitrator shall be:
(a) reasonable and appropriate in the circumstances of the dispute;
(b) in accordance with the agreement of the parties and the arbitrator; or
(c) in the absence of an agreement of the parties and the arbitrator, determined by
the arbitral tribunal (after consulting with the parties) in accordance with the scale of
fees of one of the arbitral institutions in Nigeria.
Section 58
58. Corrections, interpretations, and additional arbitral awards.
(1) Within 30 days after receipt of an arbitral award, unless another period of time has
been agreed to by the parties:
(a) a party may request the arbitral tribunal to correct in the arbitral award any
computation, clerical or typographical errors or any other errors of a similar nature;
and
(b) a party may, if agreed by the parties, request the arbitral tribunal to give an
interpretation of a specific point or part of the arbitral award.
(2) If the arbitral tribunal considers the request made under subsection (1) of this
Section to be justified, it shall make the correction or give the interpretation within 30 days
after receipt of the request, and the interpretation forms part of the arbitral award.
(3) The arbitral tribunal may correct, on its own initiative, any type of error described in
subsection (1) (a) of this Section within 30 days after the date of the arbitral award.
(4) Unless otherwise agreed by the parties, a party may request within 30 days after
receipt of the arbitral award, the arbitral tribunal to make an additional arbitral award as to
a claim, including a claim for interest or costs presented in the arbitral proceedings but
omitted from the arbitral award.
(5) If the arbitral tribunal considers the request made under subsection (4) of this
Section to be justified, it shall make the additional arbitral award within 60 days.
(6) The arbitral tribunal may if necessary, extend the period of time within which it must
make a correction, give an interpretation or make an additional arbitral award under
subsection (2) or (5) of this Section.
(7) Section 51 of this Law applies to a correction or interpretation of an arbitral award or
to an additional arbitral award made under this Section.
Section 59
59. Termination of proceedings.
(1) Arbitral proceedings are terminated by the final arbitral award or by an order of the
arbitral tribunal under subsection (2) of this Section.
(2) The arbitral tribunal shall issue an order for the termination of the arbitral
proceedings if any of the following occurs:
(a) the claimant withdraws the claim, unless the respondent objects to the order
and the arbitral tribunal recognises a legitimate interest on the respondent’s part in
obtaining a final settlement of the dispute;
(b) the parties agree on the termination of the proceedings;
(c) the arbitral tribunal finds that the continuation of the proceedings has for any
other reason become unnecessary or impossible; and
(d) the arbitral tribunal terminates the proceedings under Section 34(2)(a) of this
Law.
(3) Subject to this Law, the arbitral tribunal’s mandate terminates with the termination
of the arbitral proceedings.
Section 60
60. Applications for setting aside arbitral awards.
(1) A party may apply to the Court to set aside an arbitral award only on one or more of
the following grounds:
(a) a person entered into the arbitration agreement while under a legal incapacity;
(b) the arbitration agreement is void, inoperative or incapable of being performed;
(c) the arbitral award deals with a dispute not falling within the terms of the
arbitration agreement or contains a decision on a matter that is beyond the scope of
the arbitration agreement;
(d) the composition of the arbitral tribunal was not in accordance with the
arbitration agreement or this Law;
(e) the subject matter of the dispute is not capable of resolution by arbitration
under the laws of Nigeria;
(f) the applicant was not given proper notice of the arbitration or of the
appointment of an arbitrator;
(g) there are justifiable doubts as to the arbitrator's independence or impartiality;
(h) the applicant was not given a reasonable opportunity to present its case or to
answer the case presented against it; or
(i) the arbitral award was the result of fraud or corruption by a member of the
arbitral tribunal or was obtained by fraudulent behaviour by a party or its
representative in connection with the conduct of the arbitral proceedings.
(2) If the Court finds that the grounds described in subsection (1)(c) or (e) of this Section
apply in respect of only part of the subject matter of the arbitral award, the Court may set
aside that part of the arbitral award.
(3) For the purposes of subsection (1)(g) of this Section, there are justifiable doubts as to
the arbitrator’s independence or impartiality only if is there was a real danger of bias on
the part of the arbitrator in conducting the arbitration.
(4) The Court shall not set aside an arbitral award on grounds referred to in subsection
(1)(g) of this Section if before the award was made:
(a) the applicant was aware of the circumstances it relies upon to set aside the
arbitral award and failed to follow the applicable procedure required by the
arbitration agreement or this Law for seeking the removal of the arbitrator; or
(b) the Court determined that substantially the same circumstances as are relied
upon to set aside the arbitral award were not sufficient to justify the removal of the
arbitrator.
(5) The Court shall not set aside an arbitral award if the applicant is deemed under
Section 6 of this Law to have waived the right to object on the grounds on which the
applicant relies.
(6) Subject to subsection (7) of this Section, an application to set aside an arbitral award
shall be brought no more than 30 days after the date on which the applicant receives the
arbitral award, correction, interpretation, or additional award on which the application is
based.
(7) If the applicant alleges corruption or fraud, an application to set aside the arbitral
award shall be brought within 30 days after the date on which the applicant first knew or
reasonably ought to have known of the circumstances relied upon to set aside the award.
(8) The Court may, where it makes an order setting aside an arbitral award or any part
thereof under this Section, and considering the grounds on which the award or the
relevant part thereof has been set aside, give such other directives as it considers
appropriate, including directives relating to:
(a) the remittance of the matter to the arbitral tribunal;
(b) the commencement of a new arbitration, including the time within which such
arbitration shall be commenced;
(c) the future conduct of any Court proceedings from which the parties were
referred to arbitration under Section 10(2) of this Law; and
(d) the bringing of any action, including the time within which such action shall be
brought by any party to the arbitral award concerning any matter which was the
subject of the arbitral award which was set aside by the Court.
Section 61
61. Recognition and enforcement of arbitral awards.
(1) An arbitral award shall, irrespective of the jurisdiction or territory in which it is made,
be recognised as binding, and subject to this Section, shall upon application in writing to
the Court by a party, be enforced by the Court.
(2) An application under subsection (1) of this Section shall be accompanied by an
original or certified copy of the award and evidence as to whether:
(a) the time limit for commencing an application to set aside the award at the place
of arbitration has elapsed;
(b) there is a pending application to set aside the award;
(c) a stay of enforcement of the award has been issued;
(d) the award has been set aside; or
(e) the award has been remitted to the arbitral tribunal.
(3) The Court shall recognise and enforce the arbitral award unless:
(a) the award has been set aside by a court of competent jurisdiction at the place
of arbitration;
(b) the subject matter of the dispute is not capable of resolution by arbitration
under the laws of Nigeria;
(c) the time limit for commencing an application to set aside the award under the
laws of the place of arbitration has not yet elapsed;
(d) there is a pending application to set aside the award, or a stay of enforcement
of the award has been issued at the place of arbitration; or
(e) the award has been remitted to the arbitral tribunal.
(4) If subsection (3)(d) or (e) of this Section applies, the Court may order that recognition
and enforcement of the arbitral award is stayed for a time and on conditions, including
conditions as to the deposit of security.
Section 62
62. Interpretation.
In this Part:
(a) “arbitration funding” in relation to an arbitration, means money, or any other
financial assistance, in relation to any costs of the arbitration;
(b) “Attorney-General” means the Attorney-General and Commissioner for Justice
of Delta State;
(c) “code of practice” means the code of practice issued under Section 70 of this
Law and amended from time to time;
(d) “costs” in relation to an arbitration, means the costs and expenses of the
arbitration and includes:
(i) pre-arbitration costs and expenses; and
(ii) the fees and expenses of the arbitral institution;
(e) “funded party” has the meaning stated in Section 65 of this Law;
(f) “funding agreement” has the meaning stated in Section 64 of this Law;
(g) “Gazette” means the Delta State of Nigeria Gazette;
(h) “potential third-party funder” means a person who carries on any activity with a
view to becoming a third-party funder;
(i) “provision” means:
(i) in relation to the provision of arbitration funding to a person (recipient) – includes
the provision of the arbitration funding to another person (for example, to the
recipient’s legal representative) at the recipient’s request; and
(ii) in relation to the provision of arbitration funding by a person (funder) – includes
the provision of the arbitration funding by another person that is arranged by the
funder;
(j) “third-party funding” has the meaning stated in Section 66 of this Law and
includes a potential third-party funder;
(k) “third-party funding of arbitration” has the meaning stated in Section 63 of this
Law.
Section 63
63. Third-party funding of arbitration.
Third-party funding of arbitration is the provision of arbitration funding for an arbitration:
(a) under a funding agreement;
(b) to a funded party;
(c) by a third-party funder; and
(d) in return for the third-party funder receiving a financial benefit only if the
arbitration is successful within the meaning of the funding agreement.
Section 64
64. Funding agreement.
A funding agreement is an agreement for third-party funding of arbitration that is:
(a) in writing;
(b) made between a funded party and a third-party funder; and
(c) made after the commencement date of this Law.
Section 65
65. Funded party.
(1) A funded party is a person:
(a) who is a party to an arbitration; and
(b) who is a party to a funding agreement to provide arbitration funding to the
person by a third-party funder.
(2) In subsection (1) (a) of this Section, the reference to a party to an arbitration
includes:
(a) a person who is likely to be a party to an arbitration that is yet to commence;
and
(b) a person who was a party to an arbitration that has ended.
Section 66
66. Third-party funder.
(1) A third-party funder is a person:
(a) who is a party to a funding agreement to provide arbitration funding to a
funded party by the person; and
(b) who does not have an interest recognised by law in the arbitration other than
under the funding agreement.
(2) In subsection (1)(b) of this Section, the reference to a person who does not have an
interest in an arbitration includes:
(a) a person who does not have an interest in the matter about which an arbitration
is yet to commence; and
(b) a person who did not have an interest in an arbitration that has ended.
Section 67
67. Particular common law offences do not apply.
The common law offences of maintenance (including the common law offence of
champerty) and of being a common barrator do not apply in relation to third-party funding
of arbitration.
Section 68
68. Particular tort does not apply.
The tort of maintenance (including the tort of champerty) does not apply in relation to
third-party funding of arbitration.
Section 69
69. Non-application to lawyers acting for parties in arbitration.
(1) This Part does not apply to the provision of arbitration funding to a party by a lawyer
who during the lawyer’s legal practice, acts for any party in relation to the arbitration.
(2) If a lawyer works for, or is a member of a legal practice (however described or
structured), the references in subsection (1) of this Section to “lawyer” include the legal
practice and any other lawyer who works for, or is a member of the legal practice.
(3) In this section:
(a) “lawyer” means:
(i) a person who is enrolled on the Roll of Legal Practitioners kept under the Legal
Practitioners Act (Cap. L11 Laws of the Federation of Nigeria 2004 or an amendment
or re-enactment of it); or
(ii) a person who is qualified to practise law in a jurisdiction other than Nigeria
(b) “party” means a party to the arbitration within the meaning of Section 65 of
this Law.
Section 70
70. Code of practice.
(1) The Attorney-General may issue a code of practice setting out the practices and
standards with which third-party funders are expected to comply in carrying on activities
connected with third-party funding of arbitration.
(2) The Attorney-General may amend or revoke the code of practice.
(3) Section 72 of this Law applies in relation to an amendment or revocation of the code
of practice in the same way as it applies in relation to the code of practice.
Section 71
71. Content of code of practice
(1) Without limiting Section 70 of this Law, the code of practice may, in setting out
practices and standards, require third-party funders to ensure that:
(a) any promotional material in connection with third-party funding of arbitration is
clear and not misleading;
(b) funding agreements set out their key features, risks and terms, including:
(iii) the degree of control that third-party funders will have in relation to an
arbitration;
(iv) whether, and to what extent, third-party funders (or persons associated with the
third-party funders) will be liable to funded parties for adverse costs, insurance
premiums, security for costs and other financial liabilities; and
(v) when, and on what basis, parties to funding agreements may terminate the
funding agreements or third-party funders may withhold arbitration funding;
(c) funded parties obtain independent legal advice on funding agreements before
entering into them;
(d) third-party funders have a sufficient minimum amount of capital;
(e) third-party funders have effective procedures for addressing potential, actual or
perceived conflicts of interest and the procedures enhance the protection of funded
parties;
(f) third-party funders have effective procedures for addressing complaints against
them by funded parties and the procedures allow funded parties to obtain and
enforce meaningful remedies for legitimate complaints; and
(g) third-party funders follow the procedures mentioned in paragraphs (e) and (f) of
this subsection.
(2) Without limiting subsection (1) of this Section, the code of practice may:
(a) specify terms to be included, or not to be included, in funding agreements; and
(b) specify what is to be included, or not to be included, in order to have effective
procedures.
(3) The code of practice may:
(a) may be of general or special application; and
(b) may make different provisions for different circumstances and provide for
different cases or classes of cases.
Section 72
72. Process for issuing code of practice.
(1) Before issuing a code of practice, the Attorney-General shall:
(a) consult the public about the proposed code of practice; and
(b) publish a notice to inform the public of the proposed code of practice.
(2) In preparing the proposed code of practice for public consultation, the Attorney-
General may consult a person with knowledge or experience of arbitration or third-party
funding of arbitration.
(3) The notice shall state the following information:
(a) the purpose and general effect of the proposed code of practice;
(b) how a copy of the proposed code of practice may be inspected; and
(c) that written submissions by any person about the proposed code of practice
may be made to the Attorney-General before a specified time.
(4) After considering all written submissions made before the specified time, the
Attorney-General may issue the code of practice (with or without revision) by causing its
publication in the Gazette.
(5) The code of practice comes into operation on the day on which it is published in the
Gazette under subsection (4) of this Section.
(6) The code of practice is not a subsidiary legislation.
Section 73
73. Non-compliance with the code of practice.
(1) A failure to comply with a provision of the code of practice does not, in itself, render
any person liable to any judicial or other proceedings.
(2) Notwithstanding subsection (1) of this Section:
(a) the code of practice is admissible in evidence in proceedings before any court
or arbitral tribunal; and
(b) any compliance, or failure to comply, with a provision of the code of practice
may be considered by any court or arbitral tribunal if it is relevant to a question
being decided by the court or arbitral tribunal.
Section 74
74. Disclosure of information for third-party funding of arbitration.
(1) Notwithstanding Section 79(2) of this Law, the information referred to in that Section
may be communicated by a party to a person for the purpose of having, or seeking, third-
party funding of arbitration from the person.
(2) The person who received the communication under subsection (1) of this Section
may not further communicate the information unless:
(a) the further communication is made:
(i) to protect or pursue a legal right or interest of the person; or
(ii) to enforce or challenge an award made in the arbitration, in legal proceedings
before a court or other judicial authority in or outside the State;
(b) the further communication is made to any government body, regulatory body,
court or tribunal and the person is required by law to make the communication; or
(c) the further communication is made to a professional adviser of the person for
the purpose of obtaining advice in connection with the third-party funding of
arbitration.
(3) If a further communication is made by a person to a professional adviser under
subsection (2)(c) of this Section, subsection (2) of this Section applies to the professional
adviser as if the professional adviser were the person.
(4) In this section:
“communicate” includes publish or disclose.
Section 75
75. Disclosure about third-party funding of arbitration.
(1) If a funding agreement is made, the funded party shall give written notice of:
(a) the fact that a funding agreement has been made; and
(b) the name of the third-party funder.
(2) The notice shall be given:
(a) for a funding agreement made on or before the commencement of the
arbitration; or
(b) for a funding agreement made after the commencement of the arbitration
within 15 days after the funding agreement is made.
(3) The notice shall be given to:
(a) each other party to the arbitration; and
(b) the arbitral tribunal.
(4) For subsection (3)(b) of this Section, if the arbitral tribunal for the arbitration has not
been constituted at the time, or at the end of the period specified in subsection (2) of this
Section for giving the notice, the notice shall instead be given to the arbitral tribunal
immediately after it has been constituted.
(5) In this section:
“arbitral tribunal” includes an emergency arbitrator.
Section 76
76. Disclosure about end of third-party funding of arbitration.
(1) If a funding agreement ends (other than because of the end of the arbitration), the
funded party shall give written notice of:
(a) the fact that the funding agreement has ended; and
(b) the date the funding agreement ended.
(2) The notice shall be given within 15 days after the funding agreement ends.
(3) The notice shall be given to:
(a) each other party to the arbitration; and
(b) the arbitral tribunal (if any).
Section 77
77. Non-compliance with the provisions of Section 74, 75 or 76 of this Law.
(1) A failure to comply with Section 74, 75 or 76 of this Law does not of itself, render any
person liable to any judicial or other proceedings.
(2) Subject to subsection (1) of this Section any compliance, or failure to comply, with
Section 74, 75 or 76 of this Law may be considered by any court or arbitral tribunal if it is
relevant to a question being decided by the court or arbitral tribunal.
Section 78
78. Immunity.
(1) Subject to subsection (2) of this Section, no legal proceeding for damages lies or may
be commenced or maintained against an arbitrator, arbitral institution or the Multidoor
Courthouse because of anything done or omitted:
(a) in the performance or intended performance of any duty under this Law or
under an arbitration agreement; or
(b) in the exercise or intended exercise of any power under this Law or under an
arbitration agreement.
(2) Subsection (1) of this Section, does not apply to an arbitrator in relation to anything
done or omitted in bad faith.
Section 79
79. Privacy and confidentiality.
(1) Unless otherwise agreed by the parties, all hearings and meetings in arbitral
proceedings shall be held in private.
(2) Unless otherwise agreed by the parties, the parties and the arbitral tribunal shall not
disclose any of the following:
(a) proceedings, evidence, documents and information in connection with the
arbitration that are not otherwise in the public domain; and
(b) an arbitral award.
(3) Subsection (2) of this Section does not apply if the disclosure is:
(a) required by law;
(b) required to protect or pursue a legal right, including for the purposes of
preparing and presenting a claim or defence in the arbitral proceedings or enforcing
or challenging an arbitral award; or
(c) authorised by a competent court.
Section 80
80. Applications to Court under this Law.
The Rules in the First Schedule to this Law shall apply to any application to the Court
arising under this Law.
Section 81
81. Repeal and transitional provisions.
(1) The Arbitration Law 1914, Cap A13 Laws of Delta State is hereby repealed.
(2) Anything done or concluded under the repealed Law shall be deemed to have been
done or concluded under this Law.
(3) This Law applies to an arbitral proceeding if the arbitral proceeding is commenced on
or after the date this Law comes into force.
(4) For the purpose of an arbitral proceeding to which this Law applies, a reference in
the arbitration agreement to the Arbitration Law 1914, Cap A13 Laws of Delta State is
deemed to be a reference to this Law.
Schedule 1
DELTA STATE ARBITRATION LAW, 2022
Section 80
HIGH COURT OF DELTA STATE (ARBITRATION CLAIMS) RULES 2022
Part I - General
Section 1
1. Title
These rules may be cited as the High Court of Delta State (Arbitration Claims) Rules 2022.
Section 2
2. Interpretation
In these Rules:
(a) "arbitration claim" means any motion to the High Court of Delta State seeking relief
under the Law;
(b) "enforcement claim" means a claim referred to in Rule 14;
(c) "Law" means the Delta State Arbitration Law, 2022;
(d) "Section 10 application" means an application referred to in Rule 13;
(e) "State" means Delta State.
Section 3
3. Application of Rules
(1) Notwithstanding the High Court of Delta State (Civil Procedure) Rules 2009 or any other
rules of court, these Rules shall apply to any application or matter arising under the Law
(an "arbitration-related case"). However, the High Court of Delta State (Civil Procedure)
Rules 2009 (or any revision thereof) shall continue to apply to such extent as provision has
not been expressly made in these rules.
(2) Failure to comply with these Rules shall not result in proceedings under the Law being
a nullity, and the Court may, at any time and on such terms as to costs or otherwise as it
considers appropriate, grant any amendment to cure any defect or error in the
proceedings for the purpose of determining the real question or issue raised by or
depending on the proceedings.
Section 4
4. Establishment of specialist arbitration and ADR lists and judicial training
(1) The Court shall assign all arbitration-related cases to a specialist list and shall
designate particular Judges to deal with cases on the list.
(2) The Court shall work with reputable arbitration and ADR institutions to establish and
implement a training curriculum for Judges assigned to deal with the specialist lists.
Part II - Arbitration claims
Section 5
5. Application of this Part
This Part shall apply to all arbitration claims, except for Section 10 applications, and
enforcement claims, where it shall only apply to the extent provided in Parts III, IV and V of
this Schedule.
Section 6
6. Starting an arbitration claim
An arbitration claim shall be started by way of an originating motion.
Section 7
7. Content of originating motion
(1) An originating motion starting an arbitration claim shall consist of:
(a) the motion;
(b) the written evidence by way of one or more affidavits on which the motion is based;
(c) a written address, which shall succinctly set out:
(i) the issues that arise for the Court's determination;
(ii) the submissions of fact to be made with references to the evidence;
(iii) the submissions of law with references to the relevant authorities; and
(d) copies of any authorities relied on by the claimant.
(2) The originating motion shall:
(a) include a concise statement of:
(i) the remedy claimed or relief sought; and
(ii) any question on which the claimant seeks the decision of the Court;
(b) give details of any arbitration award challenged by the claimant, identifying which part
or parts of the award are challenged and specifying the grounds for the challenge;
(c) state the Section of the Law under which the claim is made;
(d) show that any applicable statutory requirement under the Law has been met;
(e) identify against which, if any, respondent or respondents a costs order is sought;
(f) where the motion is to be served on parties in addition to the respondents, such as
members of a tribunal or any other third-party, specify the capacity in which these
additional parties should be served, and the reason therefor; and
(g) where the claim is being made without notice to any respondent or additional party,
specify the grounds relied upon for making the application without notice.
Section 8
8. Service generally
(1) Unless the Court orders otherwise, and subject to Rule 9, an originating motion shall be
served on the respondent or respondents within 30 days from the date on which the
originating motion is filed.
(2) A copy of the originating motion shall be served on all parties to the arbitration claim,
except where the arbitration claim is made without notice to any respondent or additional
party under Rule 7(2)(g).
(3) Service of any process in an arbitration claim shall be made:
(a) where a party has given an electronic address or number for service, by sending it
electronically to that address or number and providing the Court with evidence of the
electronic delivery;
(b) where a party has given an address for service, at that address; and
(c) where a party has not given an address for service, personally or at the registered
address of the party, as the case may be.
(4) Where the Court is satisfied that the service under paragraph (3) is not possible, the
Court may order that service on the party shall be:
(a) at the party's last known address;
(b) at a place where it is likely to come to the party's attention; or
(c) by substituted service in such other ways as the Court considers appropriate.
Section 9
9. Service out of jurisdiction
(1) The Court may grant leave to serve an arbitration claim out of the jurisdiction if:
(a) the claimant seeks to set aside an arbitration award made within the State; or
(b) the claimant:
(i). seeks some other remedy or requires a question to be decided by the court affecting an
arbitration (whether started or not), an arbitration agreement or an arbitration award; and
(ii). the juridical seat of the arbitration is or will be within the State.
(2) An application for leave to serve an arbitration claim out of the jurisdiction shall be
made by way of motion and shall:
(a) state the ground or grounds on which the application is made; and
(b) specify the place or country in which the person to be served is, or is probably to be
found.
(3) An order granting leave to serve an arbitration claim out of the jurisdiction shall
specify:
(a) the period during which service shall be effected; and
(b) the period within which the respondent shall respond to the arbitration claim following
service of the arbitration claim on it.
Section 10
10. Case Management
(1) This Rule 10 shall apply to any arbitration claim unless the Court orders otherwise,
either on its own motion or upon application by any party to the arbitration claim.
(2) The Court may, in particular, adapt any time period set out in this Rule to fit the
circumstances of the case, bearing in mind the need for arbitration claims to be
determined promptly.
(3) A respondent who does not contest any or all the remedies in an arbitration claim may
file a notice stating such fact, and a Court or Judge in Chambers may grant such
uncontested remedy or remedies without an oral hearing.
(4) Subject to Rule 9(3), a respondent who wishes to contest any or all the remedies in an
arbitration claim shall file and serve the following within 14 days after service upon that
party of the originating motion:
(a) the respondent's written evidence in the form of one or more affidavits and any
supporting documents; and
(b) the respondent's written address, which shall succinctly set out:
(i) the issues that arise for the Court's determination;
(ii) the submissions of fact to be made with references to the evidence;
(iii) the submissions of law with references to the relevant authorities; and
(c) copies of any authorities relied on by the respondent.
(5) A claimant who wishes to rely on evidence in reply to written evidence filed by the
respondent shall file and serve its written evidence in the form of one or more affidavits,
together with any supporting documents, within 7 days after service of the respondent's
evidence.
(6) Except in the case provided for in paragraph (7) of this Rule, the Court shall list an
arbitration claim for hearing not later than thirty (30) days after service of the originating
motion on the respondent, or in the case of multiple respondents, on the respondent last
served.
(7) Where a respondent is served outside the jurisdiction under Rule 9(3), the Court shall
list an arbitration claim for hearing not later than forty (40) days after service of the
originating motion on the respondent served outside the jurisdiction, or in the case of
multiple respondents, on the respondent last served.
(8) In all cases, the Court shall, as far as possible, list the matter de die in diem (in one
block of consecutive days).
Section 11
11. Hearings
(1) Arbitration claims shall be determined based on the affidavit evidence filed by the
parties without the need for oral evidence, unless the Court orders otherwise.
(2) The Court may order that any part of an arbitration claim be heard in private.
(3) Any hearing of an arbitration claim may be facilitated in appropriate circumstances by
means of secure telephone lines, secure video conferencing facilities or such other means
of communication as the Court deems fit and proper.
(4) All aspects of an arbitration claim shall be conducted virtually through Online Dispute
Resolution (ODR), using any appropriate technology, provided that all or particular aspects
of an arbitration claim may be heard on the basis of an Oral Court Hearing (OCH) rather
than by ODR where a party establishes to the satisfaction of the Court that:
(a) the case is not suitable for ODR because the case requires oral evidence, or
(b) the court will be assisted by oral submissions in an OCH.
(5) If the Court finds that there is merit in such contention, the Court may direct that:
(a) the case should be determined exclusively on the basis of an OCH; or
(b) the case should be determined on a hybrid ODR/OCH basis.
(6) In this Rule, Online Dispute Resolution (ODR) includes:
(a) E-filing, online applications/appending case files.
(b) Electronic template forms online.
(c) Costs calculator for court fees.
(d) E-payments.
(e) Tracking proceedings.
(f) E-service.
(g) Making legal submissions online.
(h) Online interaction between the Court and parties.
(i) Receiving decisions online.
Section 12
12. Applications for interim injunctions
(1) Whenever a Judge is dealing with an application for an ex-parte interim injunction in
relation to a dispute arising from a contractual relationship, the Judge should ascertain if
the contract contains an arbitration clause.
(2) If the contract contains an arbitration clause, the Judge should ascertain if the affidavit
supporting the application for an ex-parte order gives reasons why the dispute has not
been referred to arbitration.
(3) If the supporting affidavit does not give any reasons why the dispute has not been
referred to arbitration, the Judge should decline the ex-parte order and direct that the
opposing party and any other interested parties be served with notice of the application for
injunctive relief.
(4) If the supporting affidavit gives reasons why the dispute has not been referred to
arbitration, the Judge should consider the merits of such reasons on a prima facie basis
before deciding whether to:
(a) grant or refuse the ex-parte order, or
(b) direct that the opposing party and any other interested parties be served with notice of
the application.
(5) When deciding whether to make any of the orders referred to in Rule 4 (a) and (b)
above, the Judge must also consider whether:
(a) there are circumstances of real urgency disclosed in the affidavit supporting the
application; and
(b) the applicant has demonstrated that it will suffer irreparable harm if the ex-parte
interim injunction is not granted.
(6) If an interim ex-parte order is granted in circumstances where:
(a) the applicant has failed to give reasons why the dispute has not been referred to
arbitration or,
(b) the reasons given by the applicant as to why the dispute has not been referred to
arbitration are found to be factually untrue or legally unmeritorious,
the interim order shall be discharged forthwith.
(7) This Rule 12 is without prejudice to any rule of procedure by which an ex-parte order of
interim order terminates or lapses in the circumstances prescribed by such rules of
procedure.
Part III - Applications under Section 10 of the Law
Section 13
13. Applications for stay of Court proceedings in favour of arbitration under
Section 10 of the Law
(1) Where a party to an action pending before the Court contends that the action is the
subject of an arbitration agreement, it shall make an application by motion on notice (a
"Section 10 application") to that effect to that Court, together with any supporting
documents and a written address.
(2) Where the application complies with paragraph (1) of this Rule and Section 10 (1) of
the Law, it shall continue as an arbitration claim under Part II, save that the Court may
adapt the time periods under Rule 10 pursuant to rule 10(1)(b) of this Schedule.
(3) The Court shall first make a prima facie determination, based on the parties written
submissions (and without requiring an oral hearing), on whether a party has shown that
there is a very strong probability that the arbitration agreement may be null and void,
inoperative or incapable of being performed, as required under Section 10(2) of the Law.
(4) If a party is not able to show on a prima facie basis, that there is such a very strong
probability, the Court shall refer the parties to arbitration.
(5) If a party can show on a prima facie basis, that there is such a very strong probability,
the Court shall then proceed finally to determine whether the arbitration agreement is null
and void, inoperative or incapable of being performed, and if the Court finds that the
arbitration agreement:
(a) is null and void, inoperative or incapable of being performed, it shall resume its
proceedings; or
(b) is not null and void, inoperative or incapable of being performed, it shall refer the
parties to arbitration.
Part IV - Recognition and Enforcement of Interim Measures or Arbitral Awards
Section 14
14. Recognition and enforcement of arbitral awards or interim measures of
protection
(1) Save as otherwise provided in this Part, an application under this paragraph shall be
made by way of an arbitration claim under Part II (an "enforcement claim") and shall be
initially made without notice to any respondent.
(2) The written evidence filed in support of an enforcement claim shall:
(a) exhibit the original or a certified copy of the award or the decision containing the
interim measure of protection;
(b) state the name and the usual or last known place of residence or business of the
applicant and of the person against whom it is sought to enforce the award or the interim
measure of protection;
(c) state as the case may require, either:
(i) that the award or interim measure of protection has not been complied with; or
(ii) the extent to which it has not been complied with at the date of the application.
(3) Where the party is a body corporate, references in this paragraph to the place of
residence or business shall have effect as if the reference were to the registered address
or the principal place of business of the body corporate.
(4) Upon receipt of an enforcement claim, the Court shall verify compliance with paragraph
(2) and issue a provisional order granting recognition of the award or interim measure of
protection or authorising the enforcement of the award or interim measure of protection in
the same manner as a judgment of the Court.
(5) In addition to the respondents identified by the applicant, the Court may specify parties
to the arbitration on whom the enforcement claim motion, comprising the originating
motion, the written evidence on which the motion is based and the written address, and
the provisional order, shall be served.
(6) Within 14 days after receipt of the provisional order referred to in paragraph (5), the
applicant shall cause the enforcement claim motion and the provisional order to be served
on the respondent and on any additional party by any of the means provided in Part II of
these Rules.
(7) Within 14 days after service of the enforcement claim motion and of the provisional
order on them or, if the enforcement claim motion and the provisional order are to be
served out of the jurisdiction, within such other period as may be specified in an order
under Rule 9(3), a respondent may apply to set aside the provisional order.
(8) The award or interim measure shall not be enforced until after:
(a) the end of the period referred to in paragraph (7) of this Rule; or
(b) any application made by the respondent within that period has been finally disposed of.
Section 15
15. Interest on awards
Where an applicant in an enforcement claim seeks to enforce an award on interest, the
whole or any part of which relates to a period after the date of the award, that party shall
include the following particulars in their enforcement claim motion:
(a) whether simple or compound interest was awarded;
(b) the date from which interest was awarded;
(c) specifying the periods of rest, if any;
(d) the rate of interest awarded; and
(e) a calculation showing:
(i) the total amount claimed up to the date of the statement; and
(ii) any sum which will become due on a daily basis.
Part V - Costs and Security for Costs in Arbitration Claims
Section 16
16. Scope and interpretation
(1) This Part shall apply to all arbitration claims.
(2) A costs order shall be made against a party to the proceedings and not his legal
representative, unless the order is made against a legal representative under Rule 24.
(3) In this Part:
(a) "detailed assessment" means the procedure by which the Court determines the amount
of any costs to be paid pursuant to an order or orders about costs;
(b) "paying party" means a party liable to pay costs;
(c) "receiving party" means the procedure by which the Court, when making an order
about costs, determines the amount to be paid pursuant to the order or part thereof;
(d) "wasted costs" means costs ordered by the Court under Rule 24(2);
(e) "wasted costs order" means an order made under Rule 24.
Section 17
17. Duty to notify client
Where:
(a) the Court makes an order against a party who is represented; and
(b) the party is not present in Court when the order is made,
the party's lawyer shall notify the party in writing on the costs order no later than 7 days
after the lawyer receives notice of the order.
Section 18
18. Exercise by Court of its discretion as to costs
(1) The Court has discretion as to:
(a) whether costs are payable by one or more parties to another party or parties;
(b) which parties are to pay costs to which other parties;
(c) whether the costs payable are all of the receiving party's costs of the proceedings, or
only a proportion or part of those costs;
(d) whether the costs payable are to be the receiving party's costs of the proceedings or of
part of the proceedings;
(e) the amount of those costs; and
(f) when they are to be paid.
(2) In deciding whether to make an order for costs:
(a) the general rule is that the unsuccessful party or parties shall be ordered to pay the
costs of the successful party or parties; but
(b) the Court may make a different order.
(3) In deciding what order, if any, to make about costs, the Court shall have regard to all
the circumstances, including:
(a) the conduct of all the parties;
(b) whether a party has succeeded on part of that party's case, even if the party has not
been wholly successful; and
(c) any admissible offer to settle made by a party which is drawn to the Court's attention.
(4) Where a party entitled to costs is also liable to pay costs, the Court may assess the
costs which that party is liable to pay and either:
(a) set off the amount assessed against the amount the party is entitled to be paid and
direct that party to pay any balance; or
(b) delay the issue of a certificate for the costs to which the party is entitled to until the
party has paid the amount for which he is liable to pay.
Section 19
19. Payment on account of costs
(1) Where the Court has ordered a party to pay costs but has not determined the amount
of those costs, it may order an amount to be paid on account before the costs are
assessed.
(2) Any sum ordered to be paid on account of costs under paragraph (1) shall not exceed
the sum which, on a brief prima facie view, the Court considers to be the minimum amount
which is likely to be determined upon assessment.
Section 20
20. Procedure for assessing costs
(1) Where the Court orders a party to pay costs to another party, it shall decide upon the
basis of assessment under Rule 21, and shall make a summary assessment of costs as
provided under Rule 22 unless it is not practicable to do so.
(2) If the Court does not make a summary assessment of the costs, the amount of the
costs shall be determined by detailed assessment in accordance with Rule 23.
Section 21
21. Basis of assessment
(1) Where the Court makes an order for costs:
(a) the amount of the costs shall be assessed on the standard basis unless the Court
orders that the costs are to be assessed on the indemnity basis; and
(b) the Court may order that the costs are to be assessed on the indemnity basis where it
is satisfied, having regard to all the circumstances, that it is fair and reasonable to do so
on the grounds that:
(i) the conduct of the paying party has been highly unreasonable; or
(ii) the circumstances of the case make it exceptional in some other way.
(2) The amount of costs allowed upon an assessment on the standard basis shall be the
costs incurred by the receiving party to the extent that those costs were reasonably
incurred and reasonable and proportionate in amount, with any doubt being resolved in
favour of the paying party.
(3) The amount of costs allowed upon an assessment on the indemnity basis shall be the
costs incurred by the receiving party to the extent that those costs were reasonably
incurred and reasonable in amount with any doubt being resolved in favour of the
receiving party.
(4) The amount of costs allowed on an assessment on either basis shall not exceed the
amount of costs which the receiving party has paid or is liable to pay.
Section 22
22. Summary assessment of costs
(1) A summary assessment is a determination of the amount payable under an order for
costs by the Court that which made the order for costs.
(2) A summary assessment shall be carried out at the hearing at which the order for costs
is made.
(3) Not less than 24 hours before the hearing, each party which intends to claim costs to
be assessed by summary assessment shall serve a summary schedule of the costs claimed
on any party against which it intends to seek those costs, setting out the following
information:
(a) the amount of costs claimed;
(b) the basis on which those costs have been calculated; and
(c) a summary of the disbursements claimed.
Section 23
23. Detailed assessment of costs
(1) A detailed assessment of costs is a determination of the amount payable under an
order for costs, other than a summary assessment.
(2) The determination referred to in sub rule (1) shall be made by the Court pursuant to
the following procedure:
(a) not later than 30 days from the date of the order for costs, or such other period as may
be ordered by the Court which made the order for costs, the receiving party shall serve
upon each paying party a detailed schedule of the costs claimed, including the following
information:
(i) the amount of costs claimed;
(ii) the basis on which those costs have been calculated;
(iii) a breakdown of the time spent by each lawyer into units of not more than one hour
and the amount charged per hour or for that work, as the case may be; and
(iv) a summary of the disbursements claimed;
(b) not later than 14 days from service of the schedule under paragraph (a), each paying
party shall serve upon the receiving party a counter-
schedule setting out any items which the paying party asserts should be reduced or
disallowed and a brief statement of the grounds for that assertion;
(c) if the parties cannot reach an agreement as to the amount payable by the paying
party, the receiving party shall, within 14 days of the service of any counter schedules,
inform the Court in writing that agreement has not been possible, and the matter shall be
referred to the Court for assessment;
(d) the general rule is that the Court shall make an assessment of the amount payable by
the paying party without a hearing;
(e) if the Court considers that a hearing is necessary, it shall list a hearing at which the
parties may make submissions for the Court to determine the amount of costs payable.
The determination of the amount payable may be made either at the hearing itself if
practical, or immediately following the hearing;
(f) the Court may give reasons for any decision that it makes upon a detailed assessment
but shall not be required to do so; and
(g) within 7 days of the conclusion of a detailed assessment under paragraph (d) or (e), the
Court shall prepare and serve on any paying party and any receiving party a certificate of
the amount assessed to be payable, together with the reasons for its decision, if any.
Section 24
24. Time for complying with order for costs
Unless the Court orders otherwise, a party shall comply with an order for the payment of
costs within 14 days of:
(a) the date of the judgment or order if it states the amount of those costs; or
(b) if the amount of those costs or part of them is decided later, the date of the order
determining the amount, or the certificate issued under Rule 23(g).
Section 25
25. Wasted costs orders
(1) This Rule shall apply where the Court is considering whether to make a costs order
against the legal representative(s) of a party.
(2) The Court may order a legal representative to meet some of or all the costs of the
proceedings, where such costs have been incurred by a party:
(a) as a result of any improper, unreasonable or negligent act or omission on the part of
any legal representative or any employee of such a representative; or
(b) which in the light of any such act or omission occurring after they were incurred, the
Court considers it is unreasonable to expect that party to pay.
(3) The Court shall give the legal representative a reasonable opportunity to attend a
hearing to give reasons why it should not make a wasted costs order.
(4) For the purposes of this Rule, the Court may direct that privileged documents are to be
disclosed to the Court and, if the Court so directs, to the other party to the application for a
wasted costs order.
(5) When the Court makes a wasted costs order, it shall specify the amount to be
disallowed or paid.
(6) The Court may direct that notice shall be given to the legal representative's client in
such manner as the Court may direct, if:
(a) any proceedings under this Rule; or
(b) any wasted costs order made under it against the party's legal representative.
Section 26
26. Security for costs in arbitration claims
(1) A defendant in any arbitration claim may apply for security for that party's costs of the
proceedings.
(2) An application for security for costs shall be supported by an affidavit accompanied by
any supporting documents and a written address.
(3) Where the Court decides to make an order for security for costs, it shall:
(a) determine the amount of security;
(b) direct the manner in which and the time within which the security shall be given; and
(c) make an order specifying the consequences of a breach of the order for security for
costs.
Section 27
27. Conditions to be satisfied for order for security for costs
(1) The Court may make an order for security to costs under Rule 26 if:
(a) it is satisfied, having regard to all the circumstances of the case, that it is just to make
such an order; and
(b) one or more of the conditions in paragraph (2) applies.
(2) The conditions are that:
(a) the claimant is resident out of the jurisdiction;
(b) the claimant is a company or other body, whether incorporated inside or outside
Nigeria and there is reason to believe that it will be unable to pay the respondent's costs if
ordered to do so;
(c) the claimant has changed its address since the claim was commenced with a view to
evading the consequences of the claim;
(d) the claimant failed to give his address in the originating process, or gave an incorrect
address in that process;
(e) the claimant is acting as a nominal claimant and there is reason to believe that it will
be unable to pay the defendant's costs if ordered to do so; or
(f) the claimant has taken steps in relation to his assets that would make it difficult to
enforce an order for costs against him.
Section 28
28. Security for costs of an appeal
The Court may order security for costs of an appeal against:
(a) an appellant; and
(b) a respondent who also appeals
on the same grounds as it may order security for costs against a claimant under Rule 26 of
this Schedule.
Schedule 2
DELTA STATE ARBITRATION LAW, 2022
EMERGENCY ARBITRATOR PROCEDURES
Section 37
Section 1
1. Appointment of emergency arbitrator
(1) A party requiring interim measures before the constitution of the arbitral tribunal may
submit an application for the appointment of an emergency arbitrator to any arbitral
institution designated by the parties, or, failing such designation, to the Court.
(2) The party requesting the appointment of an emergency arbitrator shall provide
sufficient copies of the application to the arbitral institution or the Court, as the case may
be, to provide one copy for the emergency arbitrator and one copy for each party.
(3) Unless the parties agree otherwise, the application shall include the following
information:
(a) a statement of the urgent interim measures sought;
(b) the name in full, description, address and other contact details of each of the parties;
(c) a description of the circumstances giving rise to the application and of the underlying
dispute referred to arbitration;
(d) the reasons why the applicant needs the urgent interim measures that cannot await
the constitution of an arbitral tribunal;
(e) the reasons why the applicant is entitled to such urgent interim measures; and
(f) any relevant agreement(s) and in particular, the arbitration agreement(s).
(4) The application may contain such other documents or information as the applicant
considers appropriate or as may contribute to the efficient examination of the application.
(5) If the arbitral institution or Court determines that it should accept the application, it
shall, unless the parties otherwise agree, appoint an emergency arbitrator within 5
business days after the date the application is received.
(6) Once the Emergency Arbitrator has been appointed, the arbitral institution or Court
shall at the expense of the party making the application, immediately notify the
emergency arbitrator and other party or parties named in the application, no later than the
close of business on the business day following the date the application is granted, or such
other time (not exceeding 5 business days) as the arbitral institution or Court considers to
be appropriate in the circumstances.
(7) After the arbitral institution or court appoints the emergency arbitrator, all written
communications from the parties shall be submitted directly to the emergency arbitrator
with a copy to the other party or parties.
(8) Every emergency arbitrator shall be and remain independent and impartial as required
under Section 17 of the Law.
Section 2
2. Challenge of emergency arbitrator
(1) Unless the parties otherwise agree:
(a) A party that wishes to challenge the appointment of the emergency arbitrator shall do
so within:
(i) within three days from receipt by the party of the notification of the emergency
arbitrator's appointment; or
(ii) from the date when that party was informed of the facts and circumstances on which
the challenge is based, provided that the date is after the receipt of the notification.
(b) The grounds for challenging an arbitrator in Section 18 of the Law shall also apply to
the challenge of an emergency arbitrator.
(2) The arbitral institution or Court that appointed the emergency arbitrator shall decide
the challenge after a reasonable opportunity has been afforded to the emergency
arbitrator and the parties to provide submissions in writing, but no later than three (3)
business days after the date of the challenge.
(3) Where an emergency arbitrator dies, has been successfully challenged, has been
otherwise removed, or has withdrawn from the proceedings, the arbitral institution or
Court shall appoint a substitute emergency arbitrator within two (2) business days.
(4) Where the emergency arbitrator is replaced, the emergency proceedings shall resume
at the stage where the emergency arbitrator was replaced or ceased to perform his or her
functions, unless the substitute emergency arbitrator decides otherwise.
Section 3
3. Conduct of emergency proceedings
(1) Taking into account the urgency inherent in the emergency proceedings and ensuring
that each party has a reasonable opportunity to be heard, the emergency arbitrator may
conduct such proceedings in such a manner as the emergency arbitrator considers
appropriate.
(2) The emergency arbitrator shall have the power to rule on objections that the
emergency arbitrator has no jurisdiction, including any objections with respect to the
existence, validity or scope of the arbitration clause(s) or of the separate arbitration
agreement(s).
(3) Any meetings between the parties and the emergency arbitrator may be conducted in
person at any location the emergency arbitrator considers appropriate or by video
conference, telephone or similar means of communication.
Section 4
4. Decisions of emergency arbitrator
(1) Any decision of the emergency arbitrator shall take the form of an Order (the
"Emergency Decision") and shall be made within 14 days from the date on which the file is
received by the emergency arbitrator. This period may be extended by the agreement of
the parties.
(2) The Emergency Decision may be made even if in the meantime the file has been
transmitted to the arbitral tribunal.
(3) An Emergency Decision shall:
(a) be made in writing;
(b) state the date when it was made and a summary of the reasons upon which the
Emergency Order is based (including a determination on whether the emergency arbitrator
has jurisdiction to grant the urgent interim measure(s)); and
(c) be signed by the emergency arbitrator.
(4) Any Emergency Decision shall fix the costs of the emergency proceedings and decide
which of the parties shall bear them or in what proportion they shall be borne by the
parties, subject always to the power of the arbitral tribunal to determine finally the
apportionment of such costs in accordance with Section 53 of the Law.
(5) The costs of the emergency proceedings include the emergency arbitrator's fees and
expenses and the reasonable and other legal costs incurred by the parties for the
emergency proceedings.
(6) Any Emergency Decision shall be recognised and enforced in the same manner as an
interim measure under Section 46 of the Law and shall be binding on the parties when
rendered. The parties undertake to comply with any Emergency Decision without delay.
(7) The emergency arbitrator shall be entitled to order the provision of appropriate security
by the party seeking urgent interim measures.
(8) Any Emergency Decision may, upon a reasoned request by a party, be modified,
suspended, or terminated by the emergency arbitrator or the arbitral tribunal (once
constituted).
(9) Any Emergency Decision ceases to be binding:
(a) if the emergency arbitrator or the arbitral tribunal so decides;
(b) upon the arbitral tribunal rendering a final award, unless the arbitral tribunal expressly
decides otherwise;
(c) upon the withdrawal of all claims or the termination of the arbitration before the
rendering of a final award; or
(d) if the arbitral tribunal is not constituted within 90 days from the date of the Emergency
Decision. This period may be extended by the agreement of the parties.
(10) The emergency arbitrator's decision shall not bind the arbitral tribunal with respect to
any question, issue or dispute determined in the Emergency Decision. The arbitral tribunal
may modify, terminate, or annul the Emergency Decision or any modification thereto made
by the emergency arbitrator.
(11) The arbitral tribunal shall decide upon any party's requests or claims related to the
emergency proceedings, including the reallocation of the costs of such proceedings and
any claims arising out of or in connection with the compliance or non-compliance with the
order.
Section 5
5. General provisions
(1) The emergency arbitrator procedures set out in this Schedule are not intended to
prevent any party from seeking urgent interim measures from a competent court at any
time.
(2) In all matters not expressly provided for in this Schedule, the emergency arbitrator
shall act in the spirit of the general principles under Section 4 of the Law.
(3) The emergency arbitrator shall make every reasonable effort to ensure that an
Emergency Decision is valid.
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